EIF, CaixaBank and MicroBank support Spanish small businesses

It is the first European Investment Fund (EIF) guarantee agreement signed in Spain under InvestEU. The agreements are backed by the InvestEU program.

The European Investment Fund (EIF), CaixaBank and MicroBank reinforce their support to Spanish small and medium-sized enterprises and mid-cap companies by providing them with guarantees worth €637 million, €150 million to CaixaBank to support innovation and green transition and, €487 million to MicroBank, CaixaBank's social bank to provide financing. CaixaBank and MicroBank will use these guarantees to mobilize more than €1 billion in financing that will help companies reach their full potential.

€150 million guarantee for CaixaBank

CaixaBank will benefit from an EIF guarantee of up to €150 million to improve access to finance for small and medium-sized businesses and mid-caps in Spain. This will enable it to mobilise up to around €214 million in loans to these businesses. The credit line is linked to specific financing products provided by the InvestEU Fund covering two areas: Innovation and Digitalisation and Sustainability. The financial institution will begin offering these products in the second half of the year. The InvestEU Innovation and Digitalisation Guarantee is worth up to €100 million. It will allow CaixaBank to continue support Spanish firms working in research and development and enhance their access to finance. This initiative will also help drive the digital transformation among companies of this size. The InvestEU Sustainability guarantee is worth up to €50 million. With this guarantee, the EIF and CaixaBank will step up its support for the green transition and help beneficiaries make green, inclusive and environmentally friendly investments.

€487 million guarantee for MicroBank

MicroBank, the social bank of CaixaBank created 15 years ago, has signed a guarantee agreement with the EIF worth up to €487.5 million. It includes four InvestEU Fund products: Microfinance, Social Entrepreneurship, SME Competitiveness and Sustainability. The agreement will enable MicroBank to provide financing to microenterprises, entrepreneurs and social enterprises in these areas on favourable terms, and mobilise up to €800 million. The InvestEU Microfinance and Social Entrepreneurship Guarantee totals up to €200 million. It means MicroBank will be able to continue offering better access to finance for microenterprises, including self-employed people, and social enterprises that struggle to access credit. The InvestEU SME Competitiveness Guarantee is worth up to €250 million, Microbank will be able to improve the competitiveness of small businesses by facilitating access to finance. Finally, the InvestEU Sustainability Guarantee is worth up to €37.5 million. This will allow MicroBank to continue to support small businesses in the green transition and related areas such as green, inclusive and environmentally friendly investments.